Maple Finance: On-chain Asset Management Platform for Institutional Capital Era

Key Points Summary

As institutional investors enter the cryptocurrency market, the demand for professional asset management solutions is rising. Maple Finance has emerged to fill this gap, establishing its position as an on-chain asset management platform.

Maple not only connects lenders and borrowers, but also conducts structured assessments of borrowers and strategically manages collateral, making it operate more like a traditional asset management company. Recently, Maple also launched a Bitcoin yield product, transforming Bitcoin from a passive holding asset into an income-generating asset.

As more institutions enter the crypto space, well-prepared asset management platforms like Maple Finance are expected to establish early institutional relationships, and this advantage may translate into a long-term market leadership position.

1. Demand for Asset Management in the Crypto Market

In traditional finance, large investors often rely on professional asset management services. However, in the crypto market, structured and reliable asset management institutions are very scarce.

This gap presents significant opportunities for crypto asset management. Applying validated models from traditional finance to digital assets could unleash enormous market potential. As institutional participation in the crypto space deepens, the demand for professional and structured asset management is becoming crucial.

As institutional participation in the crypto space accelerates, this demand is becoming increasingly significant. A key example is a company's large-scale Bitcoin purchases that began in 2020. This momentum was further enhanced after the approval of spot Bitcoin ETFs in the United States and Hong Kong in 2024.

Therefore, a market that was once dominated by retail investors is approaching its limits. The current environment requires professional asset management solutions tailored to institutional needs.

Maple Finance was created to meet this demand. Founded in 2019, Maple combines traditional financial expertise with blockchain infrastructure and has steadily established its position as a leading on-chain asset management provider.

2. On-chain Asset Management: Maple Finance

Maple Finance has a simple and clear structure. It facilitates credit-based on-chain lending by connecting fund providers (LP) with institutional borrowers.

After examining the actual operations of Maple Finance, the answer becomes clearer. The platform employs professional asset management practices that go beyond simple loan matching. It conducts thorough credit assessments of institutional borrowers and makes strategic decisions regarding fund allocation and loan terms.

Throughout the loan process, Maple also engages in active fund management, utilizing mechanisms such as collateral quality staking and re-lending. This operational model clearly goes beyond basic lending intermediation, resembling more closely the functions of modern asset management companies.

3. Core Participants and Operating Mechanism of Maple Finance

Maple Finance can operate as an on-chain asset management institution ( rather than just a lending intermediary ), due to its clear participant structure and systematic operational framework. Maple's products are built around three key participant roles:

This structure reflects the existing safeguards in traditional finance. In the corporate loan business of banks, depositors provide funds, companies apply for loans, and internal credit teams assess their financial health. Meanwhile, shareholders participate in governance decisions that influence the direction of the institution.

The operation of Maple Finance is similar. When a borrower applies for a loan, Maple's credit team sets the terms based on the collateral ratio and asset quality. Lenders provide funds, functioning similarly to depositors, while $SYRUP holders assume a governance role similar to that of shareholders, participating in decision-making at the protocol level.

A key difference is that $SYRUP holders will also receive staking rewards funded by protocol revenue. It is worth noting that 20% of the revenue is allocated for buybacks to support these rewards.

Consider a specific example. A major market maker requires $10 million in operating capital to expand trading positions during increased market volatility. However, traditional banks have rejected this request on the grounds of limited trust in the cryptocurrency sector, resulting in the market maker being unable to secure the necessary funds.

Maple Finance's internal lending and advisory division Maple Direct bridges this gap through its high-yield corporate product (High-Yield Corporate Product). Qualified investors recognizing Maple Direct's performance deposit 10 million USDC into the lending pool.

When a market maker applies for a loan, Maple Direct conducts a comprehensive credit assessment, reviewing the company's financial status, operating history, and risk profile. After the assessment, it approved a loan of 10 million USDC, secured by Ethereum, with an interest rate of 12.5%.

After the loan is executed, income distribution begins. Market makers pay monthly interest, of which Maple Direct retains 12% as a management fee. The remaining interest is distributed to qualified investors.

Here, Maple's differentiation becomes clear. It goes beyond a basic loan intermediary, actively managing collateral, including enhancing capital efficiency through secondary lending and collateral staking. In certain cases, Maple also constructs loans based on corporate guarantees from the parent company ( rather than traditional collateral ).

In fact, the services provided by Maple can compete with traditional financial institutions. It actively manages funds, rather than just connecting lenders and borrowers. This approach reinforces Maple's positioning as a trusted institutional-grade asset management company, rather than just another DeFi lending platform.

4. The Core Products of Maple Finance

4.1. Maple Institutional

Maple Finance has established its position as a legitimate on-chain asset management institution by offering a diversified and structured product portfolio. Its products are mainly divided into two categories: lending products and asset management products, each designed to match investors with different risk tolerances and return objectives.

The first category of lending products includes Maple's on-chain (Blue Chip) and on-chain (High Yield) products. The Blue Chip product line is designed for conservative investors who prioritize capital preservation. It only accepts mature assets such as Bitcoin and Ethereum as collateral and adheres to strict risk management practices.

In contrast, high-yield products are aimed at investors seeking higher returns and willing to take on greater risks. Their core strategy involves actively managing over-collateralized assets, generating additional yield through staking or secondary lending, rather than merely holding the collateral.

Maple Finance's second category of product asset management began with its BTC Yield ( product. This product was launched earlier this year, in response to the growing institutional demand for Bitcoin. Its value proposition is simple: institutions do not need to passively hold Bitcoin, but can instead deposit BTC to earn interest, generating returns from existing assets.

If institutions can directly purchase and hold Bitcoin, why not manage it themselves? The answer lies in practical limitations, primarily the lack of secure revenue-generating technological infrastructure or operational expertise.

Maple Finance's Bitcoin yield product utilizes dual staking ) provided by Core DAO. In this model, institutions securely store their Bitcoin in institutional-grade custodians such as BitGo or Copper and earn staking rewards by committing not to utilize their assets for a predetermined period. In short, institutions securely lock their assets and earn returns.

However, the actual operation process is more complicated than it seems. Behind the simple facade of "earning returns on Bitcoin" lies a series of technical and operational steps, including signing contracts with custodians, participating in Core DAO staking, and converting $CORE staking rewards into cash. Each step requires expertise, which most institutions do not possess internally.

This reflects a familiar pattern in traditional finance. While companies can manage assets directly, they often rely on specialized asset management firms to carry out this work efficiently and securely. In the crypto space, the demand for such expertise is even greater, given the additional layers of technical complexity, regulatory oversight, security, and risk management.

Starting with Bitcoin yield products, Maple Finance plans to expand into a broader range of asset management products. This strategy is crucial for bridging the gap between institutional investors and the crypto market, addressing a long-standing unmet demand.

By providing comprehensive, professionally managed services, Maple enables institutions to pursue stable returns from digital assets without deviating from their core business focus.

( 4.2 syrupUSDC

The products discussed so far are primarily aimed at qualified investors, limiting access for general retail participants. To address this issue, Maple Finance has launched syrupUSDC and syrupUSDT, which are liquidity pools aimed at retail investors built on top of Maple's existing lending infrastructure and borrower network.

The funds raised through syrupUSDC will be lent to institutional borrowers from Maple's blue-chip and high-yield pools, who undergo the same credit assessment process as other Maple products. The interest generated from these loans is directly distributed to syrupUSDC depositors.

Although the structure is similar to Maple's institutional products, the syrup pool is independently managed. This design lowers the entry threshold for retail users while maintaining the operational rigor of institutional products, improving accessibility without compromising structural stability.

Although the yield is slightly lower than the level offered to institutional participants, Maple has introduced a "Drips" reward system to enhance long-term participation. Drips provide additional token rewards, calculated in points with compound interest every four hours. At the end of each season, points can be converted into SYRUP tokens. Through this incentive mechanism and proactive fundraising strategy, Maple Finance has attracted approximately $1.9 billion in USDC and USDT.

In summary, syrupUSDC/USDT extends institutional-grade products to retail investors, combining accessibility with a structured reward mechanism. By integrating Drips, Maple demonstrates a profound understanding of the dynamics of Web3 participation, providing a model that encourages sustained engagement while maintaining financial discipline.

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5. Key Differentiating Advantages of Maple Finance

The core differentiated advantage of Maple Finance lies in the implementation of its fully on-chain institutional-grade system. Maple does not merely rely on algorithmic lending protocols but combines on-chain infrastructure with human expertise to create an environment that meets institutional standards.

( 5.1. Services developed by traditional finance experts

This distinction begins with the composition of the Maple team. Many on-chain financial platforms lack professionals with a traditional finance background. Although such experience is not absolutely necessary, it is difficult to provide truly institutional-level services without a deep understanding of institutional investors' needs and risk expectations.

This is precisely the standout feature of Maple. Its team includes professionals with decades of experience in traditional finance and credit assessment. Their expertise enables rigorous credit evaluations and robust risk management, forming the trust foundation required by institutional clients.

The background of the Maple leadership team helps explain why they have gained the trust of institutional investors.

The CEO brings asset management experience from the National Australia Bank and Angle Finance. The co-founder was a consultant at PwC, focusing on corporate financial analysis, and later served as the Chief Financial Officer of Axsesstoday )CFO###.

Technically, the Chief Technology Officer previously served as a Senior Engineer at Wave HQ and is the founder of the fintech startup Every. The Chief Operating Officer was responsible for strategic work at a trading platform and gained direct experience in the cryptocurrency field.

A broader team includes professionals with both financial and technical backgrounds. The Director of Capital Markets previously worked at Deutsche Bank in institutional sales. The Product Lead has held product management positions at Amazon and led fintech projects at Anchorage Digital.

The core advantages of Maple